Nehalem Hilltop Condominium - Oregon Coast

Aldrich Eike represented a 19-unit self-managed condominium association against the developer and builder of the homes, which were constructed in 2004-2005 and sold, some sold through auction. The condominiums were self-managed by the owners without the benefit of a property manager, which created a unique opportunity for Aldrich Eike to assist the Association with not only their construction defect claim, but also their day-to-day HOA operations. When the homeowners came to our firm, they had already performed investigation of the construction defects and damage to select portions of the homes (the ocean facing elevations), which identified water intrusion and damage near the windows. The owners worked with the builder’s insurance company directly and had negotiated a potential settlement of $56,000 with the insurer. Cautious, the owners retained Aldrich Eike to review the settlement agreement/release proposed by the insurer for the builder. Aldrich Eike immediately identified that the proposed release related to the entire project, all homes, all defects and damage, whether known or UNKNOWN, even though the investigation had been limited to only the ocean facing elevations of the homes. This is a common practice of insurance companies to try to pull the wool over the eyes of unsuspecting and trusting homeowners before they retain qualified legal counsel. Ultimately, Aldrich Eike pursued all claims on behalf of the owners and negotiated a settlement of $550,000, nearly 10 times what was initially offered by the insurer. The owners fully repaired their homes in 2014 with the settlement funds. Those repairs included replacement of all siding and trim, roof work, deck work, and waterproofing windows and doors. This case presents an example of a unique fee structure virtually unheard of in construction defect cases, but offered by Aldrich Eike. Aldrich Eike and the owners’ association began on an hourly fee structure where the owners paid Aldrich Eike for its work each month on an hourly basis. As the case progressed, it was apparent it would be a protracted battle and the owners decided to convert their agreement with Aldrich Eike to a contingency fee basis where fees were taken out of the ultimate settlement, and the owners were credited back every dollar they paid on an hourly basis before the switch to a contingency fee structure.

Pine River Properties

Aldrich Eike represented two separate owners of a total of 15 rental rowhomes on Columbia Boulevard in Portland. One of the owners was also the builder of the rowhomes. By working together in the same litigation, each owner was able to maximize their total recovery against the insurer for the builder and each subcontractor. The case settled for more than $440,000, which amounted to approximately $30,000 per unit.

Villas At Forest Park

Aldrich Eike represented the owners association at the Villas at Forest Park, a 34-unit condominium complex in northeast Portland. The project was built in two phases between 1997 and 2004, originally built as apartments. In 2006, a developer purchased the project and converted it to condominiums for sale. By 2011, it became readily apparent the condos suffered with all too common construction defects and property damage as a result of cut corners both in original construction and the conversion in 2006. On behalf of the owners, Aldrich Eike pursued claims against both the contractors involved in the original construction of the project, as well as the conversion developer/seller and contractors. After hard fought litigation, including litigating past seemingly iron clad “AS-IS” language in the individual sale agreements to each owner, Aldrich Eike obtained over $400,000 in settlement money, through mediation, protracted written discovery, and depositions. That money was spent repairing the buildings, which now have new siding, new trim, and repaired decks and roofs. At the end of the case, the owners had a celebratory BBQ at the project, graciously attended by Aldrich Eike, the property manager, the HOA board and nearly all owners. A good time was had by all.

Water's Edge Condominiums - Oregon Coast

Aldrich Eike represented the owner’s association of a 56-unit condo complex on the central Oregon coast. The complex sits right on the ocean with decks and sliding doors on each condo facing the ocean. The units were constructed in 1996 as a hotel, and converted to condominiums as part of a construction defect litigation in 2005. Another Portland law firm represented the owners in that 2005 construction defect claim which involved water intrusion. That case settled in 2006 and the money received was spent completely residing and rebuilding the building. By 2011, it was readily apparent that the complete reconstruction performed in 2005 was catastrophically failing, allowing widespread water intrusion and rot. Aldrich Eike stepped in and represented the owners in pursuit of claims against the repair contractors who performed the reconstruction in 2005. This would be the owner’s second construction defect litigation in less than 6 years which presented particularly unique challenges to the legal team to counter arguments from the contractors that all of the defects and damage complained of by the owners was actually from original construction in 1996, and not the 2005 work. Ultimately, Aldrich Eike negotiated a $600,000 settlement just weeks before trial through a mediation process. The owners took the funds and were able to repair all of the construction defects and damage in 2012.

69th Ave Rowhomes Rosemount Estates

Aldrich Eike represented five individual rowhome owners located off Interstate 84 and the 69th Street exit in Portland. The team pursued the builder/developer on behalf of the owners, some of whom were original purchasers and some who had purchased their rowhome from someone who had purchased it from the developer years prior, all in one lawsuit in Multnomah County Circuit Court. After discovery, depositions and mediation, the case was ultimately settled for an amount that was sufficient to pay for complete repairs to all of the rowhomes and cover the owners’ attorney fees, costs, and expert witness fees. After the case settled, Aldrich Eike administered repair contracts and repair funds during repairs on behalf of each owner. At the end of the project, Aldrich Eike delivered a full repair documentation package (complete with investigation reports, repair contracts, photographic documentation, and warranties) which provided each owner with all documentation and disclosures necessary to sell their rowhome should they choose to do so.

Linden Village

Aldrich Eike represented the homeowners association of this 30 unit condominium development located in Milwaukie, Oregon. The association filed litigation against the developer and the general contractor of the project, ultimately obtaining just short of $1 million dollars in settlement for the owners within a few weeks of trial after depositions and two mediations. This settlement was obtained in spite of substantial insurance coverage hurdles to jump through related to strong coverage exclusions in the general contractor’s insurance policy. In the case, the developer paid one of the subcontractor’s share of the settlement to the association and pursued that subcontractor at trial. The Aldrich Law Office attorney Kevin A. Eike, who represented the association in the underlying case, testified in that trial which resulted in a substantial verdict against the subcontractor. The developer also used the association’s expert and repair bids to present to the jury at trial.

Marshall Wells

Aldrich Eike represented the association of owners at the Marshall Wells Lofts, a 7 story 1910 concrete warehouse which was converted into 167 luxury loft style homes located on 14th and Lovejoy in the prestigious Pearl District of northwest Portland on two separate occasions. First, The Aldrich Law Office negotiated a resolution for a confidential settlement amount with the developer, general contractor, and design professionals who converted the building into loft style homes. As part of that settlement process, the association and Aldrich Eike retained the services of a well known architectural building science professional to inspect the building with the purpose of determining the extent and cost of necessary repairs. A few years later, when it was apparent the amount received was insufficient to repair the building, Aldrich Eike represented the association in pursuing a claim against the architectural building science professional who was hired to assist the HOA in the prior claim against the developer, general contractor and design professionals. This claim against the architectural building science professional was resolved at mediation for a confidential amount after litigation had been filed and depositions occurred.